Accounting Policies of Sacheta Metals Ltd. Company

Mar 31, 2015

(1) Basis of Preparation of Financial Statements :

(a) The financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and comply with the Accounting Standards issued by the
Institute of Chartered Accountants of India and referred to Section 129
& 133 of the companies Act, 2013.

(b) The Company generally follows mercantile system of accounting and
recognizes significant items of income and expenditure on accrual
basis.

(2) Fixed Assets :

(a) All the fixed assets of the Company as on16th April, 1994 had been
revalued. The original cost of these assets is replaced by revalued
amount.

(b) Other fixed assets , acquired after 16-04-94 are stated at their
original cost.

(3) Depreciation :

Depreciation has been provided based on life assigned to each asset in
accordance with Schedule II of the Companies Act, 2013.

(4) Investments :

Investments are stated in the books at cost.

(5) Inventories :

Inventories are valued at cost or market price whichever is lower.

(6) Treatment of retirement benefits :

Retirement benefits are recorded on cash basis.

(7) Revenue Recognition :

Revenue Income is recognized on accrual basis.

Mar 31, 2014

(1) Basis of Preparation of Financial Statements :

(a) The financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the companies Act, 1956 as adopted
consistently by the Company except for certain fixed assets which are
revalued.

(b) The Company generally follows mercantile system of accounting and
recognizes significant items of income and expenditure on accrual
basis.

(2) Fixed Assets :

(a) All the fixed assets of the Company as on16th April, 1994 had been
revalued. The original cost of these assets is replaced by revalued
amount.

(b) Other fixed assets , acquired after 16-04-94 are stated at their
original cost.

(3) Depreciation :

1) The Company provides depreciation on all the fixed Assets acquired
before 01-04-96 including revalued assets on straight line Method at
the rates specified in the schedule XIV of the Companies Act, 1956, as
amended vide Notification GSR No. 766 (756) (E) dated 16-12-93 of
Government of India.

Depreciation as above on fixed Assets have been calculated as under :

Sr. No. Type of Assets Basis

a) Revalued Assets as on 16th April,1994 Revalued Amount

b) Assets acquired after 16th April, 1994 Original Cost

2) The Company has calculated depreciation on assets acquired after
01-04-96 on W.D.V method at the rates specified in the schedule XIV of
the Companies Act, 1956.

(9) There was no impairment loss on fixed assets on the basis of review
carried out by the Management in accordance with AS Â 28 issued by the
Institute of Chartered Accountants of India.

c. Terms / Rights attached to equity shares :

The Company has Equity Shares having a par value of Rs. 10 per share.
Each holder of Equity Share is entitled to one vote per share.

Mar 31, 2012

(1) Basis of Preparation of Financial Statements :

(a) The financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the companies Act, 1956 as adopted
consistently by the Company except for certain fixed assets which are
revalued.

(b) The Company generally follows mercantile system of accounting and
recognizes significant items of income and expenditure on accrual
basis.

(2) Fixed Assets:

(a) All the fixed assets of the Company as on16lh April, 1994 had been
revalued. The original cost of these assets is replaced by revalued
amount.

(b) Other fixed assets , acquired after 16-04-94 are stated at their
original cost.

(3) Depreciation :

1) The Company provides depreciation on all the fixed Assets acquired
before 01-04-96 including revalued assets on straight line Method at
the rates specified in the schedule XIV of the Companies Act, 1956, as
amended vide Notification GSR No. 766 (756) (E) dated 16-12-93 of
Government of India.

2) The Company has calculated depreciation on assets acquired after
01-04-96 on W.D.V method at the rates specified in the schedule XIV of
the Companies Act, 1956.

3) The Company has started new division for manufacturing aluminum
sheets and coils. The commercial production of the same was started
from 15/1/2008. The Depreciation on this plant is calculated W.D.V.
method on pro-rata basis at the rates specified in the schedule XIV of
the Companies Act, 1956.

(4) Investments:

Investments are stated in the books at cost.

(5) Inventories:

Inventories are valued at cost or market price whichever is lower.

(6) Treatment of retirement benefits :

Retirement benefits are recorded on cash basis.

(7) Revenue Recognition :

Revenue Income is recognised on accrual basis.

Mar 31, 2010

(1) Basis of Preparation of Financial Statements.

(a) The financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the companies Act, 1956 as adopted
consistently by the Company except for certain fixed assets which are
revalued.

(b) The Company generally follows mercantile system of accounting and
recognizes significant items of income and expenditure on accrual
basis.

(2) Fixed Assets

(a) All the fixed assets of the Company as on16Th April, 1994 had been
revalued. The original cost of these assets is replaced by revalued
amount.

(b) Other fixed assets , acquired after 16-04-94 are stated at their
original cost.

2) The Company has calculated depreciation on assets acquired after
01-04-96 on W.D.V method at the rates specified in the schedule XIV of
the Companies Act, 1956.

3) The Company has started new division for manufacturing aluminum
sheets and coils. The commercial production of the same was started
from 15/1/2008. The Depreciation on this plant is calculated W.D.V.
method on pro-rata basis at the rates specified in the schedule XIV of
the Companies Act, 1956.

(4) Investments

Investments are staled in the books at cost.

(5) Inventories

Inventories are valued at cost or market price whichever is lower.

(6) Treatment of retirement benefits Retirement benefits are recorded
on cash basis.

(7) Revenue Recognition

Revenue Income is accounted on cash basis.

(9) There was no impairment loss on fixed assets on the basis of review
carried out by the Management in accordance with AS-28 issued by the
Institute of Chartered Accountants of India.